Authorised firms are bound, unless risk transfer applies, by the FSA to segregate all client money on a daily basis in accordance with the client money rule 4 in the Client Asset Sourcebook for designated investment business and rule 5 for general insurance. For investment business this means segregating money belonging to the client held either as free money or settlement money. For general insurance, client money usually means premiums received from a customer but also covers return premiums and claims money if received for the client. Money received by general insurance intermediaries, other than under a risk transfer agreement, must be segregated in a statutory or non-statutory trust meaning the money is ‘ringfenced’ and therefore beyond the reach of the intermediary’s creditors.